Skimmer Billing – Receiving Your 1099-K
Skimmer's integration with Stripe comes with certain responsibilities, including information reporting from the payment processor. Beginning January 1, 2023, payment platforms are required to send 1099-Ks to merchants when the gross amount of total reportable payments exceeds $600 in a calendar year. This change impacts tax reporting for 2023 and subsequent years.
- What is a 1099-K? A tax form used to report payments transactions, a copy of which must be delivered to the payment recipient and filed with the IRS.
- Who files a 1099-K form? Merchants.
- Who receives a 1099-K? Merchants who have received payment using a third party payment network. Ex: Etsy seller receives 1099-K from Etsy.
- How do I report my 1099-K income on my tax return? To report your 1099-K income on your tax return, you will need to file Schedule C with your Form 1040. On Schedule C, you will report your total income and expenses from your business. Your 1099-K income will be included in your total income.
What does this mean for you?
To verify the mailing address where your 1099-K will be sent, on Skimmer's website go to Settings > Payments, click the Enabled button, and this will lead to a verification screen. If the mailing address currently listed there is correct for receiving the 1099-K, you don't need to do anything else and will automatically receive it. If you want to change this address, prior to January 7, 2024 you'll need to either 1) respond to the Skimmer email with the subject line "Confirm Your Address for 1099-K Delivery!" or 2) call Skimmer to request a change. If you do not call or email, the existing address on file will be used to send the 1099-K.
Here are some helpful links:
About Form 1099-K (IRS)
Form 1099-K (IRS)